ProsParity Raises $2 Mn Pre-Seed EV Fund From Global Investors

ProsParity Raises $2 Mn Pre-Seed EV Fund From Global Investors

ProsParity, a fintech platform involved in the distribution of credit in the electric mobility sector, has raised a $2 million pre-seed funding round from global institutional investors. These financial investors are BEENEXT, Sparrow Capital, All In Capital, DeVC, and Huddle Ventures. BEENEXT is a Venture Capital fund managed by serial entrepreneurs

ProsParity is an end-to-end electric mobility financing platform founded by Saurabh Khodke and Anirudh Dhakar. It focuses on compliance, scalability, and agility for lenders while easing access to financing relationships for EV dealers and OEMs to enable financing for their end customers. Through its proprietary platform and origination approach, the company aims to aggregate the demand for financing on a single platform for the lenders to channel their capital in the emerging EV financing asset class.

Angel investors like Ashish Gupta (Co-founder of Junglee and Helion Ventures), Raj Dugar (Ex-Eight Roads Ventures), Dhyanesh Shah (Co-founder of Mosaic Wellness), Abhishek Goyal (Co-founder of Tracxn) and Nitin Kaushal (Co-founder of Country Delight) also participated in this round.

The funds raised is expected to be be used for building proof of concept, and technology, and expanding origination networks, starting with Central India. ProsParity is also building a comprehensive partnership network across Original Equipment Manufacturers (OEMs), Fleet Operators, Dealerships, and Lenders. support EV financing in the mass market, the company aims to achieve an Asset Under Management (AUM) of INR 100 crore within the next two years by serving the market at large and new-to-credit customers.

As per NITI Aayog, the size of the annual loan market for EVs in India is projected to hit INR 3.7 lakh crore in 2030. While the opportunity in EV financing is substantial, the traditional origination approach used in the case of ICEs could be less cost-efficient, and lenders are cautious of lending in the segment due to a limited understanding of the underlying assets. 

“Today, electric vehicle financing is an emerging asset class. The Indian EV market is poised for exponential growth and affordable financing solutions are critical to enable this transition. The current landscape is catered by very few large NBFCs and private banks, primarily serving a limited customer base,” says Saurabh Khodke, CEO and Co-founder of ProsParity. “ProsParity’s technology platform and omni channel presence coupled with our experienced team and lender network, will help evolve and grow the nascent EV financing landscape in India,” he added. 

“ProsParity is addressing a key bottleneck in the acceleration of EV adoption in the country and India’s goal of making 30% of all vehicle sales electric by 2030. The founding team’s mission focuses, in the long-term, on creating a level playing field between EVs and ICE vehicles by democratising access to finance for not just customers, but also the dealers,” said Anirudh Garg, Partner at BEENEXT. 

With a collective experience of over five decades across scaling platforms, retail, and liability franchises, ProsParity’s founding team has built a differentiated, tech-led origination model that allows them to reach consumers across geographies, credit profiles, and sales channels. ProsParity’s B2B partnerships with ecosystem players ensure scalable distribution while creating a long-term moat of ‘asset risk models’ for underwriting asset risks. The company also tailors its products to efficiently sync customer profiles with utility, quality & end-use of assets.